Sensex, Nifty snap two-day losing streak, are bulls ready to rally? Check support, resistance levels

Ending their two-day losing streak, domestic markets soared higher on Tuesday. Headline indices witnessed a tug of war between bulls and bears on Tuesday that ended with Sensex and Nifty closing in positive territory. S&P BSE Sensex added 257 points or 0.44% to close at 59,031 while the NSE Nifty 50 index gained 86 points or 0.5% to settle at 17,577. Mahindra & Mahindra was the top gaining stock, up 4.18% on Sensex, followed by Bajaj Finserv and Tata Steel. Infosys was the laggard, down 1.7%, accompanied by TCS, HUL, and Tech Mahindra. Bank Nifty zoomed 1% while India VIX closed flat at 19 levels.

Deepak Jasani, Head of Retail Research, HDFC Securities –

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Mohit Nigam, Head – PMS, Hem Securities –

“As investors awaited Fed Chair Jerome Powell’s remarks on inflation and the rate outlook at the approaching annual Jackson Hole economic symposium, Asian markets were primarily trading in the negative on the global front. On the technical front, immediate support and resistance in Nifty 50 are 17475 and 17750 respectively. Bank Nifty immediate support and resistance are 38400 and 39300 respectively.”

Rupak De, Senior Technical Analyst at LKP Securities –

“Nifty ended the day with a significant green candle that pierced through the body of the previous bear candle on the daily chart. On the lower end, the Nifty found support at a near-term moving average. Going ahead, the trend may remain positive as long as the index holds above 17400 on a sustained basis. On the higher end, 17700 may act as immediate resistance; a decisive move above 17700 may induce a rally towards the recent high of 18000.”

Also Read: All eyes on US Fed speech at Jackson Hole event; Powell may keep focus on inflation even if it means recession

Vinod Nair, Head of Research at Geojit Financial Services –

“Fear of uncertainty is visible in the market as they move with high volatility, led by weak signals from global peers, while a stronger domestic economy is providing some comfort. Global markets were under pressure with a spike in European energy prices and rate hike fears ahead of the Jackson Hole gathering. On the domestic front, gains in banks, autos and metals were countered by selling in IT stocks as majors are scaling down variable pay due to margin pressure.”